Fed's Bullard says wait for more data before tapering

August 14, 2013|Reuters

(Brian Snyder Reuters, REUTERS)

PADUCAH, Kentucky (Reuters) - The Federal Reserve needs to gather more evidence that the economy is improving and inflation heading higher before deciding to taper its massive bond buying program, a senior U.S. central bank official said on Wednesday.

"The committee still needs to see more data on the macroeconomic performance for the second half of 2013 before making a judgment on this matter," St. Louis Federal Reserve President James Bullard said in prepared remarks. The remarks largely echoed a speech he gave earlier this month in Boston.

He also said the Fed chairman ought give a press conference following every policy meeting, instead of once a quarter as is currently the practice. The greater frequency would prevent policy decisions being held up or brought forward to coincide with a press conference, to give the chairman a chance to explain the decision.